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The tutorial explains how to create a personal loan agreement using docHub PDF. Users can choose from various formats, but docHub is preferred for its ease of use. The process involves filling out a template where the user clicks on blanks to enter information. An example is shown with the agreement effective on May 24, 2015, naming the borrower as Johnny Appleseed, residing at 123 Apple Way, Apple Bill, Texas. He is lending $10,000 to his wife, Nancy Appleseed, who shares the same address, with a repayment term of one year. The tutorial guides users through entering these details into the form.